In Major Shift, Amazon, Salesforce Move Away From Oracle

On Oracle’s earnings call in mid-December, a Wall Street analyst asked whether the company was losing database customers to lower-cost alternatives. Oracle co-founder Larry Ellison insisted that its huge base of Fortune 500 clients, including two of its biggest customers, weren’t going anywhere. “Amazon continues to buy Oracle technology to run their business,” Mr. Ellison said, noting that Amazon spent $50 million on Oracle software during the quarter. Salesforce “runs entirely on Oracle,” he claimed.

But Mr. Ellison’s comments about Amazon and Salesforce don’t tell the whole story. In reality, both companies are actively working to replace Oracle software running on critical business systems with open-source database software alternatives, and have made significant progress toward getting off Oracle entirely, according to people familiar with the matter.

With Amazon and Salesforce having made significant progress in replacing Oracle on critical systems, it is possible that other large companies could be encouraged to follow suit.

“If someone as big as Amazon can make the switch, then anyone can,” Mr. Guarente said.

5 total comments
Fazal Majid, Akshay Chaturvedi and 3 others commented on this article.
Read comments from top tech and industry leaders
Joe Lonsdale
Joe Lonsdale
Founding Partner, Eight
Chamath Palihapitiya
Chamath Palihapitiya
Founder & Managing Partner, SocialCapital
Tina Sharkey
Tina Sharkey
CEO, Brandless
Jonah Peretti
Jonah Peretti
CEO, Buzzfeed
Adam D'Angelo
Adam D'Angelo
CEO, Quora
Brit Morin
Brit Morin
Founder & CEO, Brit + CO
Dustin Moskovitz
Dustin Moskovitz
Co-Founder, Asana
Christina Miller
Christina Miller
President & General Manager, Turner
Max Levchin
Max Levchin
CEO, Affirm
Adam Mosseri
Adam Mosseri
Director of Product, Facebook
Alex Mather
Alex Mather
The Athletic
Martha Josephson
Martha Josephson
Partner, Egon Zehnder
James Murdoch
James Murdoch
Co-Chief Operating Officer, 21st Century Fox
Andrew Kortina
Andrew Kortina
Founder, Venmo
Ben Chestnut
Ben Chestnut
Co-Founder & CEO, Mailchimp
Ruchi Sanghvi
Ruchi Sanghvi
VP Operations, Dropbox
Login or Subscribe to follow the discussions happening here and real-time in our   Slack Community.
Databases are one of the hardest types of technology to switch because they typically are used by multiple software applications within an organization.